AG says court decision opens the door for class action against Dell

Chris Rizo Jul. 1, 2008, 1:37pm

Gary King (D)

SANTA FE, N.M. (Legal Newsline)-New Mexico Attorney General Gary King said Tuesday that a recent state Supreme Court decision allows for a class action lawsuit against computer company Dell, Inc.

On Friday, the state high court ruled unanimously that the arbitration provision in the sales contract between Dell and New Mexico consumer Robert Fiser was invalid.

The ruling reversed a New Mexico Court of Appeals ruling and remanded the case back to district court. Dell, Inc. is based in Round Rock, Texas.

The attorney general filed an amicus brief in support of Fiser's class action lawsuit against Dell for allegedly selling him a computer that did not have as much storage capacity as the company claimed it did.

Dell sued, claiming Fiser did not have a right to bring a class action lawsuit because he was bound by terms of an arbitration agreement inside the packaging of the computer he purchased through Dell's Web site.

"This is a case of David taking on Goliath," King said in a statement. "But we supported Mr. Fiser's lawsuit because it is about protecting New Mexico consumers from unfair and deceptive trade practices so we are very happy with the Supreme Court's ruling; this a victory for consumers."

From Legal Newsline: Reach reporter Chris Rizo by e-mail at

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